KB Press release

Mangalore, Jun 21: Karnataka Bank chairman Ananthakrishna, who is completing 6 years in office, has been given an extension of a further 3-year term, effective July 13, 2006.

Ananthakrishna, has already completed two 3-year terms, making his career eventful, purposeful and successful as chairman and chief executive Officer of the bank.

Chairman Ananthakrishna

Ananthakrishna, who is the 9th chairman of the bank, has the unique distinction of being the only chairman after the late K Sooryanarayana Adiga to have had served in the office for over 6 years. The late Adiga had served as chairman for 8 years. 

During the period, the bank has registered all-round progress. The bankalmost trebled its business to reach a new high turnover of over Rs 21,000 crore (deposits Rs 13,243 crore and advances Rs 7,791 crore) as on March 31, 2006, which is big stride from Rs 7,625 crore 6 years ago.

The net profit of the Bank soared to Rs 176.03 crore from Rs 40.71 crore six years earlier. The net NPA of the Bank for the year 2005-06 has come down drastically to 1.18 per cent. The net owned funds of the bank touched Rs 1,150-crore mark at the end of March 2006. The Capital Adequacy Ratio stood at 11.78 per cent.

The number of Branches of the bank rose to 395 as the Bank opened 48 new branches during the last six years. Over 319 offices were brought under CBS “FINACLE” networking more than 95% of bank’s business. Incidentally, the bank was the first among the old generation Banks to embark on centralised Core Banking Solution.

The bank has richly rewarded the shareholders by issuing bonus shares and rights shares twice. While continuing its consistent dividend payment tradition, the bank declared dividend of 30% for the year 2005-06.

In June 2003, the bank moved to a new and majestic Corporate Office measuring 125,000 sq ft built along the national highway 17 at Kankanady, Mangalore. The spacious edifice is not only a manifestation of the bank’s growing financial strength but also its aesthetic sense and sentiment.

During Ananthakrishna's tenure as chairman, the bank entered into various areas like introduction of Visa International Debit Cards, introduction of ATM outlets, distribution of insurance products of MetLife Insurance India Pvt Ltd, a US-parented Company, Bajaj Allianz for general insurance business, Internet Banking and Demat Services. The bank is planning distribution of Mutual Fund products besides introducing Mobile Top Up and Online booking of Airline/Railway Ticket through Internet Banking.
 
Ananthakrishna is readily acknowledged as the architect of the major changes in the bank which is technology savvy. With his hard work and personal commitment, he has flawlessly sculpted the brand image for the bank. Once again the spotlight is the dynamic chairman, who has brought a sense of achievement and pride thanks to his exemplary work and wisdom.
         
The bank secured the 19th rank in the list of India’s Best Banks and is No. 1 among the old private sector banks as per the recent KPMG Survey by 'Business Today'. It is but natural that under his leadership the bank is set to scale greater heights in all areas of operations in the days ahead.